The European Investment Fund (EIF) and the Greek economy ministry signed a funding deal to establish a 260 million euro risk capital Fund-of-Funds which will facilitate access to finance for entrepreneurs by unlocking the equity potential in the Greek market.
By attracting private capitals, the fund will help them turn their ideas into concrete projects. The new initiative aims to support technology transfer funds and kick-start investments into accelerator funds. Equity companies, from early stage start-up companies to mature growth companies, will also benefit.
“This Fund-of-Funds is transformational for Greece, both in terms of size and approach. It will support capital formation across the equity value chain,” Economy Minister Dimitris Papadimitriou said during a launch event in Athens.
The Fund-of-Funds is a first-time-for-Greece combination of European Structural and Investment Funds (ESI Funds) and European Fund for Strategic Investments (EFSI).
“This new equity initiative launched with the Greek government today will provide a substantial boost to the equity ecosystem. The Greek Fund-of-Funds is the first initiative of this scale ever launched in Greece for equity investments into venture capital funds and will be a crucial source of finance for SMEs. The EIB Group is fully committed to supporting jobs and growth in Greece and this new Fund-of-Funds is a clear example of our continued investment engagement in the country,” said European Investment Bank President Werner Hoyer.
EIF fosters EU objectives in support of innovation, research and development, entrepreneurship, growth, and employment. The European Structural and Investment Funds will invest 20 billion euros in Greece over through to 2020.